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Doing Business in India
         Prepared for
1   Teachers          2   Reflection




4   Life Experience   3   Companions
18 YEARS
76 NATIONS
 1000’s OF
   PEOPLE
Getting to know…me
 1   My name is: Shanti
     No last name! Mrs. Shanti (does not matter if
     you are Ms. or Mrs. they will gauge you by your
     age and address you)



 2 My husband is… / I have two children...
     Indians will share and expect a lot of personal information.
     This is small talk in India
Getting to know…me
   3      I live as part of an extended family
       60% of India still lives in the joint family
       system*




   4      I speak five languages
       An average Indian will speak between three to five languages
       India has 22 official languages and almost 2000 languages and
       dialects


Indian Census Bureau, 2011
Today’s Agenda
   • Core Values in the Workplace

   • Indian Business Etiquette

   • Indian View of NZ

   • The Art of Indian Negotiation

   • Communicating in India

   • Q&A
Indian Values
Behaviours
                           Heroes
Symbols
               Customs/Rituals
Beliefs           Assumptions



      Values
               Worldview
Indian Values:
Group




Team and Relationships
Obligation
Applications
• Share the bigger picture
• Identify key individual relationships and try
  to get inside their circles!

How?
• Attend personal functions
• Have meals together
• Ask for advice
• Let them help you!
Indian Values:




Respect for Hierarchy
Leadership
Be aware of Hierarchy

                   Chief Secretary
                   Secretary
                   Joint Secretary
                   Deputy Secretary
                   Under Secretary
                   Desk Officer
Applications
•   Titles are important, use them

•   Give importance to age, status & wealth

•   Respect hierarchy on its way up, down & match it

•   Don’t disagree with seniors in front of juniors
Fate
Indian Values:
                 Time
Applications
•   Expect little planning
•   And then expect a lot of energy to
    meet the deadline
•   Agendas & schedules may be set but
    not followed
•   Respect a line of thinking that may
    seem to defy logic
Indian Values:
Indian Business Etiquette
Introductions
• How big/powerful is
  your circle?

• Business Cards

• What to share:
   • Size of company
   • Important contacts in
     India
   • Large/well-known
     clients

• Follow up
Dress


•   North vs. South
•   Don’t mimic traditional Indian styles
•   Don’t be too informal
•   Prepare for the heat, and the AC
•   Have at least one nice accessory
Small Talk
Cricket
  • IPL

Celebrities
  • Business, Cinema, Sports
A.) Sachin Tendulkar
Which of these is not a   B.) Mahindra Singh Dhoni
   famous Indian
                          C.) Sushmita Sen
     cricketer?
                          D.) Virat Kohli
Sushmita Sen
Match the following movie stars with their pictures:
Which of the following
                           A.) Narayana Murthy
is not the founder of an
 Indian conglomerate       B.) Jamsetji Tata
   with revenues over      C.) Dhirubhai Ambani
       $40 Billion?        D.) GD Birla
Ambanis         Birlas




$67 billion    $41 billion
   Tatas




$100 billion   $7 billion
Small Talk
Travel

Family
Gifts

  •   Unique from your country
  •   Chocolate or Sweets
  •   Alcohol
  •   Piece of Art
  •   Photo frames
Body Language
• No winking
• Eye contact
• Reduced Personal Space
• No finger pointing
• Don’t show the soles of your feet to
  elders
• Speak slowly and clearly
Dining Etiquette

• Enjoy yourself and ask for
  seconds!
• Always reciprocate an
  invitation to an equal level
  of restaurant
• Offer more food and
  alcohol several times
• You must fight for the bill!
Indian Views of
New Zealand
Negotiation in India

         1   Strengthen your BATNA


         2   Stay friendly – no “hard ball”


         3   Be willing to be creative

             Agreements are adhered to but
         4   buffers are expected
Negotiation in India
        5   Bundle the Buying



        6   Crucial Silences Help


            Use a mediator for language
        7   and red tape
•   Expect a large give-in
•   Give it time
•   Find the decision makers
•   Match status, move for move
Rajan: So what’s the price on this service?
Thomas: In total it will be 6 crore.
Rajan: But that is your list price. Isn’t there a discount for us?
Thomas: For you? We give the best price to all our clients.
Rajan: I know but we are looking at a long term relationship. Surely there is
   a special price you can give?
Thomas: Well, we might be able to a 5% discount to start on the first order.
Rajan: What if we took a premium order? Would you then cover the
   shipping cost for us?
Thomas: Yes, shipping comes free with premium orders.
Rajan: Great, so it will be 5% off and free shipping and I’ll get back to you on
   the premium order.
Communication: Indian Style
Indirect   Direct     Blunt/Rude




           Indirect     Direct     Blunt/Rude
The Indian “disagreeing” rope trick
                     Repetition of the ?

                      Topic changing

                    Asking your opinion

                    Silence/No Response

                       Praising Parts
Patrick: Shobha, I was wondering if you could come in on Saturday?
Shobha: Saturday?
Patrick: Yes, just for a couple of hours.
Shobha: I see.
Patrick: Just to finish that application test.
Shobha: Right, right.
Patrick: I think Ram's team is coming in too, so it should be pretty
  fast.
Shobha: Yes, they work quite fast.
Patrick: So, do you think it will work, Shobha?
Shobha: Let me ask my team and get back with you.
Patrick: No problem.
                                             Source: Craig Storti's Cross Cultural Dialogues
Bernd: So we are all in agreement about all the prices listed
  here?
Ram: Yes, everything looks great. I’m sure we will be flexible as
  we move forward.
Bernd: Great. Shall we move on to some logistics strategies
  then?
Ram: Yes. As we will be providing some extra ground staff, we
  will need to adjust some of our figures, but only very small
  changes.
Bernd: Are you sure? Is everything the same from the proposal
  that you gave?
Ram: Of course, yes. As the market fluctuates, we will just need
  to be flexible as to how many people we need on the ground.
Context/Background       Answer

    Answer           Supporting Reasons
Cinnamon Roll vs. Jalebi




                           Dec 18 2011
Trainable Talent

Acceptance

Journey
"Welcome a
guest, send home a
      friend"

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Doing Business in India: A Guide to Indian Business Etiquette and Negotiation Styles

  • 1. Doing Business in India Prepared for
  • 2. 1 Teachers 2 Reflection 4 Life Experience 3 Companions
  • 3. 18 YEARS 76 NATIONS 1000’s OF PEOPLE
  • 4.
  • 5. Getting to know…me 1 My name is: Shanti No last name! Mrs. Shanti (does not matter if you are Ms. or Mrs. they will gauge you by your age and address you) 2 My husband is… / I have two children... Indians will share and expect a lot of personal information. This is small talk in India
  • 6. Getting to know…me 3 I live as part of an extended family 60% of India still lives in the joint family system* 4 I speak five languages An average Indian will speak between three to five languages India has 22 official languages and almost 2000 languages and dialects Indian Census Bureau, 2011
  • 7. Today’s Agenda • Core Values in the Workplace • Indian Business Etiquette • Indian View of NZ • The Art of Indian Negotiation • Communicating in India • Q&A
  • 9. Behaviours Heroes Symbols Customs/Rituals
  • 10. Beliefs Assumptions Values Worldview
  • 14. Applications • Share the bigger picture • Identify key individual relationships and try to get inside their circles! How? • Attend personal functions • Have meals together • Ask for advice • Let them help you!
  • 15. Indian Values: Respect for Hierarchy Leadership
  • 16. Be aware of Hierarchy Chief Secretary Secretary Joint Secretary Deputy Secretary Under Secretary Desk Officer
  • 17. Applications • Titles are important, use them • Give importance to age, status & wealth • Respect hierarchy on its way up, down & match it • Don’t disagree with seniors in front of juniors
  • 19. Applications • Expect little planning • And then expect a lot of energy to meet the deadline • Agendas & schedules may be set but not followed • Respect a line of thinking that may seem to defy logic
  • 22. Introductions • How big/powerful is your circle? • Business Cards • What to share: • Size of company • Important contacts in India • Large/well-known clients • Follow up
  • 23. Dress • North vs. South • Don’t mimic traditional Indian styles • Don’t be too informal • Prepare for the heat, and the AC • Have at least one nice accessory
  • 24. Small Talk Cricket • IPL Celebrities • Business, Cinema, Sports
  • 25. A.) Sachin Tendulkar Which of these is not a B.) Mahindra Singh Dhoni famous Indian C.) Sushmita Sen cricketer? D.) Virat Kohli
  • 27. Match the following movie stars with their pictures:
  • 28. Which of the following A.) Narayana Murthy is not the founder of an Indian conglomerate B.) Jamsetji Tata with revenues over C.) Dhirubhai Ambani $40 Billion? D.) GD Birla
  • 29. Ambanis Birlas $67 billion $41 billion Tatas $100 billion $7 billion
  • 31. Gifts • Unique from your country • Chocolate or Sweets • Alcohol • Piece of Art • Photo frames
  • 32. Body Language • No winking • Eye contact • Reduced Personal Space • No finger pointing • Don’t show the soles of your feet to elders • Speak slowly and clearly
  • 33. Dining Etiquette • Enjoy yourself and ask for seconds! • Always reciprocate an invitation to an equal level of restaurant • Offer more food and alcohol several times • You must fight for the bill!
  • 35. Negotiation in India 1 Strengthen your BATNA 2 Stay friendly – no “hard ball” 3 Be willing to be creative Agreements are adhered to but 4 buffers are expected
  • 36. Negotiation in India 5 Bundle the Buying 6 Crucial Silences Help Use a mediator for language 7 and red tape
  • 37. Expect a large give-in • Give it time • Find the decision makers • Match status, move for move
  • 38. Rajan: So what’s the price on this service? Thomas: In total it will be 6 crore. Rajan: But that is your list price. Isn’t there a discount for us? Thomas: For you? We give the best price to all our clients. Rajan: I know but we are looking at a long term relationship. Surely there is a special price you can give? Thomas: Well, we might be able to a 5% discount to start on the first order. Rajan: What if we took a premium order? Would you then cover the shipping cost for us? Thomas: Yes, shipping comes free with premium orders. Rajan: Great, so it will be 5% off and free shipping and I’ll get back to you on the premium order.
  • 40. Indirect Direct Blunt/Rude Indirect Direct Blunt/Rude
  • 41. The Indian “disagreeing” rope trick Repetition of the ? Topic changing Asking your opinion Silence/No Response Praising Parts
  • 42. Patrick: Shobha, I was wondering if you could come in on Saturday? Shobha: Saturday? Patrick: Yes, just for a couple of hours. Shobha: I see. Patrick: Just to finish that application test. Shobha: Right, right. Patrick: I think Ram's team is coming in too, so it should be pretty fast. Shobha: Yes, they work quite fast. Patrick: So, do you think it will work, Shobha? Shobha: Let me ask my team and get back with you. Patrick: No problem. Source: Craig Storti's Cross Cultural Dialogues
  • 43. Bernd: So we are all in agreement about all the prices listed here? Ram: Yes, everything looks great. I’m sure we will be flexible as we move forward. Bernd: Great. Shall we move on to some logistics strategies then? Ram: Yes. As we will be providing some extra ground staff, we will need to adjust some of our figures, but only very small changes. Bernd: Are you sure? Is everything the same from the proposal that you gave? Ram: Of course, yes. As the market fluctuates, we will just need to be flexible as to how many people we need on the ground.
  • 44. Context/Background Answer Answer Supporting Reasons
  • 45. Cinnamon Roll vs. Jalebi Dec 18 2011
  • 47. "Welcome a guest, send home a friend"